What is the 80 20 rule for discrimination?

Asked by: Miss Vincenza Kirlin II  |  Last update: February 9, 2026
Score: 4.6/5 (33 votes)

The 80/20 Rule (or Four-Fifths Rule) for discrimination, used by the EEOC and federal enforcement agencies, is a guideline to spot potential discrimination (adverse impact) in employment by checking if a protected group's selection rate is less than 80% of the majority group's rate, triggering further investigation into potentially biased practices, though courts view it as a guideline, not absolute proof.

What is the 80 percent rule in discrimination?

The rule states that companies should be hiring protected groups at a rate that is at least 80% of that of white men. For example, if a firm has hired 100 white men in their last hiring cycle but only hired 50 women, then the company can be found in violation of the 80% rule.

What is the maximum payout for discrimination?

These limits vary depending on the size of the employer:

  • For employers with 15-100 employees, the limit is $50,000.
  • For employers with 101-200 employees, the limit is $100,000.
  • For employers with 201-500 employees, the limit is $200,000.
  • For employers with more than 500 employees, the limit is $300,000.

What is the 4 fifths rule?

The rule states that the selection ratio of a minority group should be at least four-fifths (80%) of the selection ratio of the majority group. For example, if the selection ratio for the majority group is 50%, then the selection ratio for the minority group should be at least 40%.

What is the 80% rule for hiring?

In essence, it states that the hiring rate for any protected group – distinguished by race, gender, or age – should be at least 80% of the hiring rate of the most selected group.

Pareto Principle Explained: How the 80/20 Rule Changes Everything

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What is the 37% rule in hiring?

If you post a job and get 20 applicants in the first day, you can plan ahead. That's where the 37% rule works best: interview the first 7 candidates just to set the bar, then hire the next person who's better than everyone you've seen so far.

Does the 80/20 rule really work?

Yes, the 80/20 rule (Pareto Principle) works as a powerful guideline for focusing on high-impact activities, showing that roughly 80% of results often come from just 20% of efforts, though it's not a precise law and the numbers vary, serving as a mental model to identify key inputs (like vital customers, core learning concepts, or vital relationships) for maximum efficiency, rather than an exact mathematical formula.
 

Can I sue my employer for treating me differently than others?

Under California's Fair Employment and Housing Act, employees who experience discrimination have a right to sue their employers for the wrongful treatment they may have suffered. If you have been a victim of this kind of workplace abuse, do not hesitate to contact us.

What are 5 examples of unfair discrimination?

Five examples of unfair discrimination include being passed over for promotion due to race or gender (racial/gender bias), paying women less for the same job as men (unequal pay), denying reasonable accommodations for a disability (disability discrimination), harassing someone for their sexual orientation (sexual orientation discrimination), or retaliating against an employee for reporting harassment (retaliation). These actions unfairly disadvantage individuals based on protected traits rather than merit, violating laws like Title VII. 

Can a manager get fired for favoritism?

No law directly calls out favoritism by name, but that does not mean it is unaddressed by the law. For example, Title VII of the Civil Rights Act of 1964 and California's Fair Employment and Housing Act offer protection from discrimination.

Is it worth suing your employer for discrimination?

Ultimately, whether suing your employer is worth it depends on how severely you were mistreated or discriminated against, the quality of available evidence, the compensation at stake, and your willingness to navigate the legal process.

How much of a 30K settlement will I get?

From a $30,000 settlement, you'll likely receive significantly less, with amounts depending on attorney fees (often 33-40%), outstanding medical bills (paid from the settlement), case expenses, and potentially taxes, with a realistic take-home amount often falling into the thousands or tens of thousands after these deductions are covered, requiring a breakdown by your attorney. 

Is it better to settle or go to tribunal?

Many people opt for a settlement agreement because it offers more certain outcomes. While you may think you could get more if you went to a tribunal, you are not guaranteed any tribunal award at all. A settlement amount may well end up being your best bet.

How much should I settle for discrimination?

A reasonable discrimination settlement varies widely, but averages hover around $40,000, with strong cases reaching hundreds of thousands or millions, depending on factors like lost wages (back/front pay), emotional distress (medical treatment, severity), employer size (federal caps up to $300k), jurisdiction, and strength of evidence (clear discrimination, policy violations). Cases often settle for 4-8 months' lost wages, but can exceed this significantly with severe harm or systemic issues.
 

How to prove ADA discrimination?

Performance evaluations, disciplinary records, and other documentation related to your employment history can provide insights into how your disability was perceived by your employer and whether it influenced their decision-making process regarding the adverse action.

What are the odds of winning a discrimination case?

When cases go to jury trial, employees win verdicts just over half the time. Longitudinal studies suggest a success rate for plaintiffs of about 53–62%, depending on claim type and timeframe. Discrimination claims usually have lower success rates (sometimes under 50%), while wrongful discharge claims can be higher.

How to prove you are being discriminated against?

The 4 Legal Criteria Needed to Prove Discrimination at Work

  1. You Belong to a Protected Class. ...
  2. Your Employer Made an Adverse Employment Decision. ...
  3. You Met Reasonable Expectations for Job Performance, Job Qualifications, or Availability to Work. ...
  4. Your Employer's Adverse Actions Suggest Discrimination.

What is the most common discrimination claim?

The single most common form of direct discrimination is disability discrimination. More than 24,000 workers brought successful claims about employers mistreating them or denying them disability accommodations in 2020. 36.1% of all discrimination claims involve disability discrimination.

What to ask for in a discrimination settlement?

Economic Damages

These compensate you for tangible financial losses like lost wages, benefits, promotions, and out-of-pocket costs. The settlement should cover back pay dating back to when the discrimination began and front pay for expected future income and benefits lost due to damage to your career trajectory.

What are HR trigger words?

HR trigger words are terms that alert Human Resources to potential policy violations, serious workplace issues like harassment, discrimination, bullying, retaliation, or a hostile work environment, and significant risks like lawsuits, high turnover, or burnout, prompting investigation or intervention, while other buzzwords like "quiet quitting" signal cultural trends. Using them signals a serious concern requiring HR's immediate attention for compliance and employee safety, though overly negative or absolute language can also be flagged. 

Can I sue a workplace for being toxic?

Yes. California law protects workers from unsafe, hostile, or toxic work environments. As such, if your employer is creating a toxic work environment, you can sue them. Not surprisingly, toxic work environments are among the leading causes of job dissatisfaction in California.

How to professionally tell your boss you feel disrespected?

Here is a suggested structure you can use for this conversation:

  1. Tell the person you'd like to talk with them about something that happened. Set a date and time. ...
  2. Describe what happened in detail. ...
  3. Tell them how it made you feel. ...
  4. Tell them what you want to happen next. ...
  5. Make a plan together to continue the conversation.

What are common mistakes when using the 80/20 rule?

Common Mistakes to Avoid in Implementing the 80-20 Rule

Not regularly reviewing and adjusting. Focusing on too many projects simultaneously. Ignoring data in decision-making. Resisting to eliminate underperforming elements.

What is the 7 8 9 rule?

The 7-8-9 rule is a simple framework to help you balance your day. It suggests that you should set aside 7 hours each day for work or study and 8 hours for sleep, which leaves you with 9 hours of personal time.

What are the disadvantages of the 80-20 rule?

Disadvantages of using the 80/20 rule

The 20 and 80% numbers don't refer to the amount of effort you're putting in, but the causes and consequences you're working on. The goal is not to minimize the amount of effort, but to focus your effort on a specific portion of work to create a bigger impact.